DC2022-06-0026: REM Rules Amendments (June 2022)
Issued: June 20, 2022 | Secretary: Alfonso G. Cusi (last month in office) | Pages: 6
Adopts seven amendments to the REM Rules (DC2019-12-0016), endorsed by the RGC and PEM Board through three separate resolutions. Issued concurrently with the REM I-COP declaration (DC2022-06-0019, June 10, 2022). All amendments are to Annex A of DC2019-12-0016.
Background: Three PEM Board Endorsements
| Proposed Amendment | RGC Resolution | PEM Board Resolution | Date |
|---|---|---|---|
| TransCo data timeline extension | No. 2021-01 | 2021-34-01 | 19 April 2021 |
| RGC obligations and REC issuance | No. 2021-03 | 2021-40-07 | 29 November 2021 |
| Additional RGC seats (small generators + RES) | No. 2022-01 | 2022-45-10 | 9 March 2022 |
Public consultations: March 18, 2022 (Luzon) and March 21, 2022 (Visayas and Mindanao). RPSCT Resolution RPSCT2022-03-11-001 endorsed the consultations.
Seven Amendments
§1.1 — RGC expanded to 7 members. Added (f) REM Generators <5 MW and (g) Retail Electricity Suppliers. Clause 1.3.2.4 deleted.
§1.2 — RGC liability standard. Not liable unless due to bad faith, manifest partiality, or gross negligence.
§1.3 — RES as REM Members. “Retail Electricity Supplier” added to the standard of care applicable to all REM Members.
§1.4 — GEOP REC attribution. RECs from GEOP-registered generators issued to the host DU (not GEOP end-user); corresponding energy added to host DU’s net electricity sales for RPS calculation.
§1.5 — FIT allocation timelines extended. FIT-All Fund Administrator: 65 calendar days to submit data to Registrar; Registrar: 75 calendar days to issue RECs to MPs — both measured from end of WESM Billing Period.
§1.6 — Excess RECs credited back. MPs who surrender more RECs than their annual RPS obligation receive the excess credited back to their account for trading, not retired.
§1.7 — REC term tolled during disputes. The 3-year REC validity clock is suspended from the time a dispute is lodged with the Registrar and re-commences after final resolution.
Significance
The GEOP REC attribution rule (§1.4) resolves an ambiguity in the original REM Rules: when a GEOP end-user directly sources from an RE facility, the REC — and therefore the RPS compliance credit — belongs to the host DU, not the consumer. This keeps GEOP RPS accounting consolidated at the DU level.
The REC tolling rule (§1.7) is a consumer protection measure: disputed RECs cannot expire while a case is pending, preventing claimants from losing their position through procedural delay.
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